The markets are moving significantly this week due to a number of risk events. After rising interest rates in the US and euro area, the market is ready for today’s release of significant data from the Bureau of Labor Statistics, including the unemployment rate, average hourly wages, and change in jobs in non-agricultural sectors for April.
This data is crucial to monetary policymakers because it forecasts consumer spending and inflation in economic activity.
European markets opened higher today, as the German DAX index rose by 0.62%, the British FTSE index rose by 0.47%, and the European Stoxx 600 index increased by 0.29%. In the currency market, the euro extended its climb against the US dollar, recording a 0.3% gain. The pair is currently at 1.1025 dollars, and the euro has gained ground versus the dollar since September.
In the Asian markets this morning, stock market indices performed differently, and in Switzerland, the consumer price index fell from the previous and expected reading in April. The Swiss franc fell against the dollar for the second day in a row, currently trading at 0.8920 francs per dollar.
Gold maintained its value above $2,000 an ounce in the commodities market, as traders remain concerned about growth and worldwide bank failures.
West Texas Intermediate crude rebounded from its lowest level since the end of March, recording $69.56 a barrel, and US inventories declined last week, according to the Energy Information Administration, indicating an increase in demand for US crude compared to expectations. Brent oil recorded 73.60 this morning against the dollar per barrel.
OPEC and the petroleum exporting countries decided to restrict oil production this month to stabilize oil prices, which have been falling for a year.